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Investment property or superannuation ?

Property or superannuation better? I’m wondering what the better investment option is. I have 2 choices. I can either buy an investment property and put tenants in it, or put money into superannuation, which I can not touch for 31 years. I’m wondering what the better long-term option is. If I buy an investment property I’m looking at about $280,000 (Australian). After tenants rental income, I’ll have to put in about $250 a week of my own money. That’s not including insurances and other costs, so I estimate it go to about $270 a week, roughly. Would that $250 a week be better off in a superannuation account earning about 8% over the next 30 years taking everything into account, such as rising housing prices ? I already own a small property with my partner, which we are paying back. Any ideas, thoughts or suggestions guys?? Thanks.

Public Comments

1. If your contributions into the SA fund are tax free and you employer also pays into it, then it is the best choice. Otherwise go for the property. There is no guarantee the fund will increase by8% annually, while property has proved by far the safest and best investment over the long term, in every country of the world.